Authored by Claire Sexton
According to the Aberdeen Group, ineffective control of Contract Management costs businesses £100 billion per year in missed savings opportunities.
Implementing a Contract Management tool into an organisation for the first time can be a daunting prospect. Most organisations I meet that are considering Contract Management share common traits and beliefs.
They are often convinced that their contracts are in a terrible mess, more so than any other organisation. They believe the process of loading legacy contracts and then setting up a common programme moving forwards will take too long, be too complex and involve scarce resources. Most are overwhelmed by the task ahead. But choosing the right people, process and technology from day one will relieve many of the headaches and deliver great long term ROI.
I believe that implementing Contract Management for the first time SHOULD be complex – this means you are doing it correctly and building a process and tool that will not only properly manage your contracts, but will manage your suppliers, your relationships with your suppliers and your overall procurement organisation’s performance.
I’ve written A Guide to Contract Management: 10 Questions to Ask When Implementing a Contract Management Tool, which can be downloaded from the BravoSolution website by following the link above.
What questions would you like answered before implementing a Contract management system?